WorksheetsCONTRACT TERMINATION
Total questions: 12
Worksheet time: 3mins
Contract termination is a process to legally end a contract between parties after both parties have fulfilled their obligations under the terms of the contract.
True
False
When does the contract terminate? (3 answers)
Serious and repeated violations in law
Consistent interference with others works
Failure to pay subcontractor or suppliers
Cancellation of an outsourcing agreement
How does the anticipatory of breach occurred?
One of the parties has indicated that they will not fulfill their obligations under the contract.
The breaching party has either refused to fulfill their obligations by the due date
The deliverable of the contract was ultimately received by the other party, but the party in breach failed to fulfill some part of their obligation
What is the importance of Termination Clause?
Can help to take the ambiguity out when the process of termination is on going
Subletting significant portions of a subcontract without approval to unqualified vendors
Leave the terminating party open to significant claims by the other party.
Force majeure can be considered as frustration event.
List the procedure of contract termination accordingly
i) Issue notice of default
ii) Breach of contract
iii) Issue notice of termination
iv) Continue default for 14 days
i, ii, iii, iv
ii, i, iii, iv
ii, iii, i, iv
iv, i, ii, iii
What is the conditions that cause contract termination (2 answers)
Convenience
Suspension
Frustration
Delay
What happen if termination for convenience clause does not included in the contract but one party terminate the contract without any specific reason.
Breach of Contract
Suspension
Frustration
Rescission
Insolvency or bankruptcy also can be known as
Pauper
Crypto clauses
Ipso facto clauses
Impoverish
Select the significant steps in termination of contract agreement (2 answers)
Provide a copy to both parties
Give written notice to the contractor
Check all contract duties is completed
Leave the terminating party open to significant claims by other party
What is the causes of breach of contract? (2 answers)
Refusal to carry out work
Insolvency/Bankruptcy
Filing for bankruptcy
Failure to proceed regularly and diligently
Which statements is true about payment after termination by employer? (3 answers)
Proceed with employer’s claim
With hold further payment to the contractor until the cost of remedying of any defects, damages for delay in completion have been established
The employee is deemed to be laid-off if employer does not provide such work for him on at least a total of twelve normal working days and employee is not entitled to any remuneration under the contract for 4 consecutive weeks
Recover from the contractor any losses and damages incurred by the employer
When does the contractor can terminate the contract?
Inaccurate cost estimation
Failure to make payment
Removing plant from site
Employing others to carry out work
